Seneca Nation and New York State Clash Over Stalled Gaming Compact Negotiations

Seneca Nation seal and New York State flag with a gavel.
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    The Seneca Nation and New York State are locked in a dispute over the renewal of their gaming compact, with negotiations stalled for over three years. The current short-term extension expired at the end of 2023, leading to ongoing quarterly extensions. The Seneca Nation expresses frustration over the lack of progress and what they perceive as bad faith from the state, while the Governor’s office maintains a commitment to good-faith negotiations.

    Key Takeaways

    • The Seneca Nation initiated negotiations for a new gaming compact in July, but talks have stalled.
    • The Nation claims the state has not engaged in formal negotiations and has dismissed their proposals.
    • New York State asserts that the Seneca Nation initiated a nine-month pause in negotiations and that meetings are ongoing.
    • The existing compact, originally signed in 2002, dictates a 25% revenue share from slot machines to the state.
    • The Seneca Nation highlights its significant economic impact on Western New York, supporting over 8,000 jobs.

    Deepening Dispute Over Gaming Revenue

    The core of the disagreement lies in the terms of the gaming compact, which governs the operation of the Seneca Nation’s three casinos in Western New York: Seneca Buffalo Creek Casino, Seneca Niagara Resort & Casino, and Seneca Allegany Resort & Casino. Under the current agreement, the Seneca Nation pays 25% of its slot machine revenue to New York State in exchange for exclusive gaming rights west of State Route 14. Seneca Nation President J.C. Seneca has voiced strong dissatisfaction, stating that the Nation’s proposed compact was "trashed" and calling it a "slap in the face."

    Accusations of Stalled Progress and Bad Faith

    President Seneca has been vocal about his frustration, describing the negotiation process as "slow-moving" and "stagnant." He claims the Nation has made numerous attempts to schedule meetings with Governor Kathy Hochul’s office since July, but has received little response. "The Seneca Nation has done everything in its power to try to get the governor to the table," Seneca stated, emphasizing the urgency to resolve the issue after more than three years of negotiation attempts.

    State’s Perspective and Commitment to Dialogue

    A spokesperson for Governor Hochul countered these claims, stating that the administration "continues to act in good faith toward the Seneca Nation of Indians." The Governor’s office highlighted that President Seneca and other nation leaders were invited to Albany for discussions earlier in the year and that the Governor is committed to strengthening the government-to-government relationship. The state also asserted that the Seneca Nation initiated a nine-month pause in negotiations to draft a new compact, which was submitted in August and requested a response by the end of the month. Subsequent meetings have reportedly been held, with efforts underway to schedule a new meeting in November.

    Economic Impact and Future Uncertainty

    An economic impact study released by the Seneca Nation underscores their significant contribution to Western New York, reporting nearly $2 billion in economic impact and supporting over 8,000 jobs, with more than $540 million in wages. The Nation operates over 30 businesses in the region. Despite these contributions, the ongoing compact dispute creates uncertainty. President Seneca has alluded to exploring "another path" if a fair agreement cannot be reached, hinting at potentially "radical" actions to protect the Nation’s sovereignty and ensure fair treatment, though he did not elaborate on these measures.

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